Goldman Sachs Withdraws Its Summary Judgment Application Against The Libyan Investment Authority
The Libyan Investment Authority (LIA) has been informed by Goldman Sachs that has withdrawn the summary judgment application it made following the issuance of proceedings by the LIA against Goldman Sachs in the High Court of London in January.
On 10 April 2014, Goldman Sachs issued a summary judgment application on the basis that it contended that the LIA had no realistic prospect of success at trial.
Following the serving of the LIA’s reply evidence, Goldman Sachs has withdrawn its summary judgment application.
The LIA contends that the summary judgment application was misconceived and issued purely for tactical reasons, including a desire to delay the determination of the LIA’s claims.
The LIA looks forward to a full and proper determination of all issues by the English Court.
Background to proceedings
On 21 January 2014, the Libyan Investment Authority (LIA) issued proceedings against Goldman Sachs in the High Court of London.
The claim rests on disputed equity derivatives trades, amounting to in excess of $1 billion. These trades expired as worthless in 2011 despite delivering immediate and disproportionate profits to Goldman Sachs, estimated to be in the range of $350 million.
The central charge is that Goldman Sachs deliberately exploited the relationship of trust and confidence it had established with the LIA to cause the LIA to enter into each of the disputed trades.
A hearing to determine directions in these proceedings up to trial has been scheduled for early-October 2014.